CityFibre's contract numbers fall

Building a sustainable telecoms business is not cheap work, as investors in CityFibre (CITY) will attest. Connecting each new customer to the network costs the telecoms group roughly £600,000, while a larger-scale public sector project can absorb up to £3m of cash. The good news is that once the customer is connected, ongoing operational expenditure is very low. That’s why CityFibre continues to generate gross margins above 90 per cent on all its new business.